This is an excellent post. I was about to type something similar in response to the thread about the exceptions to the program for Resort/Conference sites. My understanding is that the properties have a procedure by which they request such status from Starwood in order to avoid responsibility for 4pm checkout, etc. But I think that many owners/management companies request that status without understanding and/or appreciating the consequences. IF they have annual 90%+ occupancy due to their location (a *real* resort or conference hotel) then they don't need Platinums. And it makes sense to request the exemption from the program. But if they only have annual 70% occupancy, then they *might* be making a mistake, because they might be losing genuine revenue, even though their internal "pro forma" says they have some cost savings on housekeeping staff, etc.

For example, some hotels (Bonaventure in LA) have apparently found that treating Platinums well (real suite upgrades, free breakfast, free wireless) has helped them enhance their room revenues during tough times, even though they have huge conferences many times during the year. I bet that 25% of the hotels on the resort/conference list are making a financial error by failing to "join" the program.